Archer Deborian and Bullarian Portans Are Working to Get the Best

question 41

Multiple Choice

Archer Deborian and Bullarian Portans are working to get the best price for their aluminum. Both are the leading aluminum dealers in the world and control market prices by collaborating to set prices for their aluminum. What type of Sherman Act violation would this be?

• A) Price gouging
• B) Price profiteering
• C) Pricing arrangement
• D) Price fixing
• E) No violation has occurred since the two are collaborating to se the price.

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Definitions:

Straight-Line Depreciation

A technique for distributing the expense of a physical asset evenly across its lifespan.

After-Tax Discount Rate

After-tax discount rate is the rate used to determine the present value of future cash flows after considering the effects of taxes.

Working Capital

The difference between a company's current assets and current liabilities, indicating its operational liquidity.

Straight-Line Depreciation

A strategy for allocating the outlay of a tangible asset through its service duration in equivalent yearly installments.